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Investigating the impact of geographical location and other
local factors on employee productivity has enabled researchers at
UWE Bristol to provide policymakers with unique insights. These
have informed regional economic strategies that have improved the
lives and prospects of people and communities.

A fresh perspective

Labour productivity, or the value of output per employee,
measures the effectiveness of workers and is influenced by a range
of different factors.

Their work built on a variety of existing studies in three broad
areas and gave policymakers the insights to make better-informed
decisions through:

Assessing variations in productivity across English regions in
relation to an organisation’s distance from areas of dense
population

Analysing the effects of geographical location and
accessibility on productivity in Wales

Examining the productivity performance of key business sectors
in the West of England compared to the country as a whole

Making a positive impact

The research gave SWRDA (South West of England Regional
Development Agency) and the Welsh Assembly Government a
clearer understanding of the distribution and concentration of key
business sectors, highlighting productivity gaps and identifying
factors that could drive positive change.

The findings had a significant impact on regional economic
policies, helping to create jobs and influencing decisions on
communications, skill development, investment and innovation – as
well as informing the South West of England Regional Economic
Strategy, the South West of England International Trade Strategy,
and the South West of England Regional Spatial Strategy.

“The work was used by the South West RDA to inform
the Regional Economic Strategy and the RDA's own
corporate plans. The work was an influence on the investment
decisions made using both RDA and
EU funds,”
explained the Director of Strategy at the SWRDA.

A catalyst for change

The research also informed preparation of the West of England
Multi-Area Agreement, clarifying the actions required to attract
and grow business investment to increase economic growth and
competitiveness across Bath, Bristol, East Somerset, North Somerset
and South Gloucestershire.

In Wales, insights from the research underpinned Welsh transport
infrastructure improvement policies designed to increase
productivity and provide assistance for geographically isolated
areas. In addition, examination of the impact on productivity of
limited Broadband access in parts of Wales resulted in ambitious
plans to expand coverage across the country.

The success of the research prompted the Government of Wales to
commission further work where similar economic modelling techniques
were used to investigate the impact of varying toll levels on the
Severn Crossings. Findings have helped to formulate draft policies
for adoption in 2015 when control of the crossings transfers to
Government for Wales.